To: BillyG who wrote (37498 ) 11/29/1998 9:18:00 PM From: John Rieman Respond to of 50808
Digital Video ready to take-off in Europe........................asiansources.com Outlook '99: Europe Posted: Nov. 12, 1998 Digital TVs, STBs ready for takeoff DVD products finally hitting home Digital video moving into the mainstream Industry riding high on digital technology In Europe, the key word is digital when it comes to electronics sourcing. Every product segment is affected by the digital revolution — one that brings not only increased quality and quantity to the supply, but also allows technology convergence and interactivity. This revolution is what will drive most development and marketing efforts during 1999, according to industry observers. European manufacturers are gearing up for a challenging but promising year in the field with a range of new-generation devices, including digital TVs and set-top boxes, DVD drives and players, and digital video cameras. Consumer electronics are a high-volume sector of the European technology industry, and despite immense competitive pressure from regions where labor costs are low, production in Europe grew by 6.2 percent in 1997 and is forecast to grow by 5.5 percent for 1998. Overall, consumer electronics manufacturing is highly concentrated. The top 10 manufacturers produce more than 69 percent of the total output. Of these, three companies with major operations in Europe — Philips, Sony and Matsushita — have led production volumes for a number of years. In 1996, Philips alone represented more than 20 percent of total production, while Sony and Matsushita each accounted for about 10 percent. This level of concentration is unlikely to change significantly in the near future, analysts say.